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16 February 2010

Indonesian car exports seen reaching 80,000 units in 2010

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Indonesian Industry minister M.S. Hidayat predicted car exports in 2010 would reach 80,000, close to the 2008 figures, reported the Antara news agency.

"Car exports this year are predicted to be close to the figures of two years ago," he said at a meeting with members of the Association of Indonesian Automotive Industries (Gaikindo) here on Monday.

He said he had the optimism because the global market had started to recover after slowing down.

Indonesian car exports in 2009 dropped steeply due to a world recession. "I am convinced this year it will turn around with exports predictably reaching around 80,000 units as global markets are starting to show signs of recovery," he said.

In 2008 the country’s car exports reached 100,000 units but later dropped sharply to around 55,000 following a global financial crisis.

Meanwhile, he said, the automotive industry and transport means in particular is one of the 10 big industries the government has relied on out of 30 industrial clusters already identified.

The government has relied on the automotive industry to help boost the growth of industrial sector until the next five years.

Hidayat said to accelerate automotive industrial growth in the country supporting industries need to be developed including automotive component industries.

"Not only after sales service component industry but also industry of components for car assembling," he said.

He said often the industries were pioneered by small and medium industries and therefore if the national automotive industry is thriving the small and medium industries would have the potential to grow.


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